Cease and Desist <\/strong><\/h2>\nThe state regulators have ordered Slotie to cease and desist from selling NFTs. To date, the company has sold approximately 10K tokens to members of the public, according to the order. They did this while failing to provide purchasers with crucial information, such as the business address of the company or its founders, or a telephone number or an email address, the regulators said.<\/p>\n
Slotie has also neglected to disclose its assets, liabilities, revenue, and other financial information related to its operations.<\/p>\n
\u201cThe latest metaverse investment products \u2014 NFTs that purport to provide passive income \u2014 often bear significant undisclosed risks,\u201d said Joe Rotunda,\u00a0the Texas state securities board director, in a statement. \u201cThese risks are often significant and investing in virtual realities can leave investors virtually broke.\u201d<\/p>\n
The state regulators have ordered Slotie to immediately cease and desist from selling NFTs to investors until the security is properly registered. They face hefty fines if they ignore the order.<\/strong><\/p>\n\u201cState securities regulators have taken the lead in warning investors about emerging investment schemes tied to the metaverse,” the regulators said. “Although blockchain technology, digital assets, and metaverses are generating widespread public interest, bad actors are now leveraging their interests to perpetrate fraudulent schemes.\u201d<\/p>\n